meshworks media investor presentation
TRANSCRIPT
The Expansionof Investor Presentation
April 2017
Disclaimer
Information included in this presentation may contain forward-looking statements within the meaning of Section 27A of the Securities Act of
1933 and Section 21E of the Securities Exchange Act of 1934. This information may involve known and unknown risks, uncertainties and
other factors which may cause our actual results, performance or achievements to be materially different from the future results,
performance or achievements expressed or implied by any forward-looking statements. Forward-looking statements, which involve
assumptions and describe our future plans, strategies and expectations, are generally identifiable by use of the words “may”, “should”,
“expect”, “anticipate”, “estimate”, “believe”, “intend” or “project” or the negative of these words or other variations on these words or
comparable terminology.
This presentation contains forward-looking statements, including statements regarding, among other things, (a) our projected sales and
profitability, (b) our growth strategies, (c) anticipated trends in our industry, (d) our future financing plans and (e) our anticipated needs for
working capital. There can be no assurance that the forward-looking statements contained in this presentation will in fact occur.
There can be no assurance that we have correctly identified and appropriately assessed all factors affecting our business or that the
information with respect to these matters is complete and correct. Additional risks and uncertainties not presently known to us or that we
currently believe to be immaterial also may adversely impact us. Should any risks and uncertainties develop into actual events, these
developments could have material adverse effects on our business, financial condition and results of operations. For these reasons, the
reader is cautioned not to place undue reliance on our forward-looking statements.
2
what business is saying…
Isn't YouTube
and Facebook
all I need?
Why does email
marketing cost
so damn much?
I just want an easy to use
way to touch our
customers…without
spending a fortune to do it.
Can you do that?
What the hell is
cloud marketing
and why should
I care?
I flat don’t
understand how
to talk to my
customers
anymore!
$9 BillionEmail Services
Revenue by 2017
2 Billion Business Email
Accounts by 2018
$29 Billion Email Services
Revenue by 2018
1 Billion Business Email
Accounts by 2017
2017
$9B
2018
2B
2017
1B
2018
$29B
$500 Million Cloud Marketing Automation in 2016
$1Billion Enterprise Content Management in 2016
$2 Billion The Cloud Storage Market by 2017
$116 Billion The Global SaaS Market by 2018
the opportunity is broad and rapidly growing
MeshMail
this is what we do today…
and yes…RE/MAX International is one of our clients!
Click Image to Play Example The Inbox
VideoMail
Custom Logo
Intro Player
Primary Player
Call-to-Actions
Attachments
Text Field
Social Media
Custom Header
Multiple Media Players
Multiple Templates
Call-to-Actions
Social Media
Multiple Text Fields
Video Newsletter
how effective is it?
22% 35% 65% 96%
300% Video in an email increases click-through
rates by 200 to 300%
400%Real Estate listings with video receive
403% more inquiries than those without
Of U.S. small
business plan to post a video in
2017
Of video ads make up total
online ad spend
Of U.S. marketers have increased their ad budgets for
video
Of B2B organizations
use video marketing
simplicity is why it works
MeshMail’s Inbox is like “Let’s Make a Deal”
people are compelled to hit play they can’t wait to see what’s behind
door #1
Our 2-Video Platform
creates a personal connection
&
immersive experience
Call-to-Actions Drives Response
what's been developed so far…
VIDEO
EMAIL01 EMAIL
MARKETING02 CLOUD
STORAGE03DATA
ANALYTICS 04
A Dynamic
Easy-to-Use & Scalable
Video Creation Platform
An Email Marketing Service
Providing Unlimited
1-to-1 or 1-to-Million
Messaging
Store Video
Documents & Presentations
Without Limits
Know
Who, When & How
They React
to Your Message
MeshMail Email EnginePowered by MailJet, MeshMail has the
engine to deliver your message globally!
Computer or Mobile Access, record, upload and send from any
internet enabled computer or mobile device
MeshMail PlatformHosted on Microsoft
Azure…MeshMail is highly secure,
redundant and global
The Audience One person, a group, your social media friends or an audience of millions…
MeshMail is the future of business engagement today!
MeshMail User Enterprise, SMB or Single
Person…MeshMail scales on
demand to meet any user base
MeshMail User AccountCreate messages, store your media
and share them with your work
groups, add new users, access all
your contacts and receive real-time
or historical analytics…all on-
demand with unlimited use.
…how it all connects...
… a peek at what’s coming next
Mesh
Mobile 05Mesh
Sync 06Mesh
Studio 07Mesh
Interactive 08
Our New Native Mobile App for
Android and iOS
Available Fall 2017
Our Sync Application Allowing
MeshMail to talk with any 3rd
Party Software
Available Fall 2017
Our New Media Editing Tool
Gives Users the Freedom to
Customize Their Media
Available 2018
Let’s Just Say it will be an
Advertisers Dream
Available 2018
MeshMobile
MeshCode
MeshSync
MeshIQ
MeshStudio
MeshInteractive
when our platform is complete…
…we will dominate
intellectual property…
In today’s world, it is preferable to acquire the Company rather than reverse engineer or try to copy our business model.
The “Trojan Horse” aspect of both our technology and business model helps keep our customers close and our competitors closer
Our business strategy is both offensive and defensive in its
approach and execution
Our business model is vetted, tested and proven to be a
disruptive force in the target markets and against known
competitors
IP in development will be in the areas of QR-Code and Interactive Media
MeshWorks core IP resides in video
management, delivery and
playback
…defense from competition
the email, video, marketing & cloud content landscape
Video Email Email Marketing
Video Management Document Management
Video email is immature and rapidlygrowing, focusing mainly on the SMBmarketplace. Product offerings are singlevideo presentations with limited third partyintegration and or enterprise capabilities.
Offerings are expensive, complex andprovide poor client support.
Document Management is maturing andrapidly growing. Technology and serviceofferings are both business and consumerbased focusing on the storage, backupand sharing of Word, Google, and PDFtype documents.
Document management providers chargeby storage space and number of users.
Email Marketing is mature, yet growing.Product and service offerings are efficientand comprehensive. Email marketingproviders do not (outside of YouTube links)offer a video component to their service.
Email marketing is expensive.
Video Management is maturing andrapidly growing. Technology and serviceofferings are typically consumer use based.Video content providers for business areemerging focusing on video creation andstorage.
Products are complicated and expensive.
TARGET
MARKETS
Real Estate
• REMAX
• Fidelity
• Agent Sales
• Mortgage
• Ancillary
Network Marketing
• DS Brand
• DS Agent
• DS MFG.
Sports
• Youth
• College
• Pro
• Retail
• Manufacturer
Fitness
• Gyms
• Trainers
• Manufacturers
• Supplements
• Digital Products
Financial Services
• Carrier
• Broker
• Independent Agent
Healthcare
• Primary Care
• Specialty Care
• Long Term Care
• Medical Sales
• Pharmaceutical
Hospitality & Entertainment
• Restaurants
• Hotel / Air / Rent Car
• Event / Concerts
• Cinema & Movie
Second Screen
• Broadcast Networks
• Regional Networks
• Social Media
SMB’s DSA’s
Advertisers Enterprise
target users
The Direct Selling industry made up of over 22 Million multi-level sales agents, in the U.S. alone; needs a low cost and easy cloud engagement service that can be used from home to better sell products and connect, grow and train their downlink associate programs
Enterprises seek a best-in-class, scalable, simple and cost effective tool for customer and employee engagement.
Advertisers are forever demanding a medium for real time
connection and response to and from their target audience
Small/medium businesses need a
low cost, easy to use cloud engagement
service to help them compete
testimonials… …what our subscribers are saying
“MeshMail is an amazing
solution for RE/MAX. It’s a
great agent training and sales
enhancement tool…its far
better than anything available
on the market today”
Jose Santiago
Sr. VP - Business Development
RE/MAX International
“MeshMail is an
incredible tool that
expedites transactions
which leads to more
closings…”
Pat Berna, President
PB Commercial
“This is the
coolest thing for
sales ever!”
Stacy Sutter
President
Summit Financial
our plan-to-market
Incredible Service We will win because we believe that client
service is the key to long-term market
dominance.
Association Marketing Developing advocates from within those target
market associations by installing a success based
revenue share program providing the association a
new and recurring revenue stream.
Enterprise – Regional – WebAn internal focus on Enterprise Clients with large
users numbers – Regional SMB approach lead by
Resellers / Vertical Sales Partners – A Company
driven Web Sales effort promoted by Social Media
& National Advertising campaigns.
Pricing and Unlimited Use Below $39.95 PA/PM, Volume Pricing Discounts,
Simple - Unlimited All-Inclusive Feature Model
Partnership Marketing The Company will partner with large user based
CRM and Marketing Automation companies like
Salesforce, HubSpot, Marketo and others.
our plan-to-sell
User Accounts
Sold & Activated via the MeshWorks Web Site
Large User Accounts
Sold & Activated by MeshWorks Persons
Large User Accounts
Sold & Activated by Third Party Partnerships
User Accounts
Sold & Activated by Vertical Resellers
Web Sales Enterprise Sales MVPartners MVResellers
by pricing simple…we turn pennies into millions!
Unlimited
Service
Web Sales
$65Regional SMB
From $45Enterprise
From $25
Unlimited Sends
Unlimited Contacts
Unlimited Media Storage
Unlimited Client Support
Volume Discount Pricing
revenue and profit
$20,000,000 Gross Revenue
$15,000,000 Gross Profit
2012 – 2013
Beta Trial Period
F2017
RE/MAX Expansion
2014 – 2016
MVP License Period
$1,411,496Gross Revenue
F2018
Advanced Product Period
F2019
Multiple Market Expansion
$400,000 Gross Revenue
$295,000 Gross Profit
$5,000,000 Gross Revenue
$4,500,000 Gross Profit
─ Initial Order of 7000 Seat Licenses
─ Total Available Market / Seat Sales to 100,000 Agents
─ Total Available Revenue / Potential $1.5 Million Monthly
─ Total Available Market / Seat Sales to 60,000 Agents
─ Total Available Revenue / Potential $1.0 Million Monthly
─ NYSE Company with 16 Brands (Alamo Title, Chicago Title) ─ 700 Athletics Administrators
─ $400 Million Dollar Athletic Budget
─ 1600 Institutions throughout Texas
─ Over 1 Million Student Athletes Active Each Year
recent transactions
2012
Purchased Company
Raised Seed Capital
Beta Testing / Development
Raised $900K Series A Round
Market Validation
2013
2014
Launched Gen-2 Product
Sold $600K in Vertical Licensing Rights
Continued Market Validation
Hired FrogSlayer to Build Gen-3 Platform
Began Gen-3 Platform Build
Sold $800K in Vertical Licensing Rights
2015
2016
Gen-3 Product Delayed
Formed Mailjet Partnership
Closed on RE/MAX
Raised $780K Series B Round
2016.5
timeline of events
the next three years…are going to be fun!
2018
Complete Company Move to Austin
Develop / Launch MeshStudio
Develop / Launch MeshInteractive
Expand OurReal Estate / Financial Services / Sports Sales
Launch Healthcare Market Sales
2017
Complete Gen-3 Product Upgrades
Move Development Team to Austin
Complete HIPAA Certification
Focus on Revenue Generation
RE/MAX and Existing Clients
2019
Launch Gen-4 Platform Development
Expand Vertical Sales
Expand MVPartners Programs
Open Mexico Market
Open European Market
Perpetual
Revenue Share
2X Principle Repayment
2X
Preferred Stock
36 Months12% Interest
$1,500,000 Series-B Senior Secured Loan
36-Month Senior Secured Loan
Simple Interest Rate12% per Annum
Due Date February 2019
Lender shall receive 2 Shares of Series B Convertible Preferred Stock for each $1.00 loaned to the Company.
The Company shall pay the Lender 15% of Gross Revenue until the
Lender is repaid their principle loan amount, plus interest.
Thereafter, Lender shall continue to receive 15% of Gross Revenue, in the form of a dividend distribution,
until the Lender receives an additional $1 for each principle dollar loaned to the Company.
After Lender receives 2X principle
repayment, Lenders preferred shares
will convert to common.
Thereafter, common holders receive a
minimum perpetual divided of not less
than 10% of the Company’s gross
revenue, less direct costs of sales, until
such time as the Company may be
acquired or conducts a go public
transaction.
Based on current pro forma modeling, theinvestor would recoup 100% of theirinvestment as early as December 2018.
48%
$790,000 of the Series-B has been subscribed for and released to
the Company as of May 15th, 2017
2017 use of proceeds
Salaries & Benefits $537,488
Capital Expenditures $236,000
General & Administrative $78,529
Rent $71,430
Insurance $29,530
Professional & Legal $122,500
Sales & Marketing$126,000
The Use of Proceeds chart is based on $1,500,000 being made available as part of the Series B secured loan.
Based on current pro forma modeling, the company would have 1-year of runway should no revenue be generated between January 2017 and January 2018.
Why Invest?
Thank You